compile threads of non compete agreement with posts.

[CharlotteInvest]

What is the name of your state? nc
i have a few independent contractors i want to bring in as they can help my business grow, whoever i don't want to trained someone what took me years to put together. That lead me to the non compete agreement.

After reading a few threads on the subject, here are my questions, and all helpful advice will be appreciated.

Some say the agreement is basically useless and others agree that if written very specific it might hold up.

1. if the non compete agreement is for a period of time say 10 years can it be upheld?
2. would the agreement be valid as long as you allow the contractor to practice the business, but require them to give over a percentage as a result from learning such trade they otherwise had no clue about?
3. for multiple states, would this agreement need to be filed in each city that i do business or plan to do business within the next few years?
4. labeling this associate since they will be paid on commission or production, will this save me from the employment motions?
5. does any one have any case law pertaining to this?

https://forum.freeadvice.com/showthread.php?t=394599
https://forum.freeadvice.com/showthread.php?t=395108

i disagree with this but who knows?
https://forum.freeadvice.com/showthread.php?t=394017

is there really a time limit as this next post suggests?
https://forum.freeadvice.com/showthread.php?t=392672

now this is a good one to bring in the sherman act. this is
something i have never heard of before, but can the decision
be curved if the non compete allows the employee to do
business in the field but just charge some type of percentage
for the next few years? like 10-30% of profits for the next 10
years of business. i have heard of boxers signing such agreements.
example champion cancels fight with 1st runner up for a percentage
of 5th runner ups for the next ten years. can this be applied
to other forms of business?
https://forum.freeadvice.com/showthread.php?t=389614

i agree with this one i think the employee may be allowed to work in
the same industry they would just have to pay the one that enlighten them.
But there would have to be some restriction and i think such company
would have to provide some form of company policy and what their type
of daily business consist of.
https://forum.freeadvice.com/showthread.php?t=376372

 

[seniorjudge]

1. if the non compete agreement is for a period of time say 10 years can it be upheld?
   A: It depends on the geographic area; but 10 years sounds way too long. Maybe two.
   
2. would the agreement be valid as long as you allow the contractor to practice the business, but require them to give over a percentage as a result from learning such trade they otherwise had no clue about?
   A: The question is garbled; rephrase it.
   
3. for multiple states, would this agreement need to be filed in each city that i do business or plan to do business within the next few years?
   A: Where do you think you "file" noncompete contracts?
   
4. labeling this associate since they will be paid on commission or production, will this save me from the employment motions?
   A: The question is garbled; rephrase it.
   
5. does any one have any case law pertaining to this?
   A: Hire an employment lawyer.

 

[CharlotteInvest]

thanks senior judge,

ok here goes,

would the agreement be valid as long as you allow the contractor to practice the business, but require them to give us a percentage of any income they produce as a result from learning such trade secrets they otherwise had no clue about?

labeling this associate an independent contractor since they will be paid on commission or production, will this save me from the employment motions?

for multiple states, would this agreement need to be filed in each city that i do business or plan to do business within the next few years. when i say file, i mean at the county recorders office, here in NC you can file any thing an attach it to a persons name. sort of like a memorandum or a sole proprietorship, power of attorneys and my non compete agreement.

 

[seniorjudge]

Q: would the agreement be valid as long as you allow the contractor to practice the business, but require them to give us a percentage of any income they produce as a result from learning such trade secrets they otherwise had no clue about?

A: I have no idea what you are asking. But if you have something you want to put in a contract and both of you agree and it's not illegal or immoral, it may be a valid contract.


Q: labeling this associate an independent contractor since they will be paid on commission or production, will this save me from the employment motions?

A: I have no idea what "employment motions" are.


Q: for multiple states, would this agreement need to be filed in each city that i do business or plan to do business within the next few years. when i say file, i mean at the county recorders office, here in NC you can file any thing an attach it to a persons name. sort of like a memorandum or a sole proprietorship, power of attorneys and my non compete agreement.

A: Record anything you want; it may or may not help you in a future case.

 

[CharlotteInvest]

ok senior judge thanks again but here goes,

say i teach you a trade you don't know. 6 months later you get on your high horse and ride into the horizon with hopes of duplicating something you learned from me.

before we begin i get you to sign a non compete agreement that has language to the effect "senior judge agrees not to go into my respective field which niche is this and we market to that and here how we do this and if senior judge conduct such business within a 10 mile radius of the Charlotte north carolina area, senior judge agrees to pay our company 20% of his gross tax returns."

is this type of agreement something i can do? i have heard of boxers signing these types of agreement so they can get the chance to move directly up the rankings and fight the champ. i hear one boxer signed an agreement give the champ 10% of all boxing earnings for the next 10 years for an opportunity to fight the champ.

i would like some input to compare this to a non compete agreement. usually if the agreement does violate a law it should be ok. since the sherman act was brought to my attention, i think it would be good to let the contractor do business but just collect something like a royalty.

 

[seniorjudge]

Q: ok senior judge thanks again but here goes,

say i teach you a trade you don't know. 6 months later you get on your high horse and ride into the horizon with hopes of duplicating something you learned from me.

before we begin i get you to sign a non compete agreement that has language to the effect "senior judge agrees not to go into my respective field which niche is this and we market to that and here how we do this and if senior judge conduct such business within a 10 mile radius of the Charlotte north carolina area, senior judge agrees to pay our company 20% of his gross tax returns."

is this type of agreement something i can do?

A: Yes; whether a court would uphold it is something I do not know.